A lot of people out there have been waiting for this stock market bubble to implode for a really long time. Well, the wait is now over. Stock prices have been falling for months, but what we have witnessed within the past couple of weeks has been absolutely breathtaking. Trillions upon trillions of dollars worth of paper wealth has been suddenly wiped out, and many investors are panic selling in a desperate attempt to lock in profits before the market completely collapses.
On Monday, the Dow lost another 600 points, but the really big news continues to be the staggering declines for both the S&P 500 and the Nasdaq…
The Dow Jones Industrial Average dropped 653.67 points to 32,245.70, or 1.99%. The S&P 500 fell 3.2% to settle at 3,991.24, while the Nasdaq Composite lost 4.29% to 11,623.25.
It has been stunning to see these sorts of numbers day after day.
One long-time market veteran actually used the word “violent” to describe what we have been witnessing…
“I’ve been in the markets for 25 years and I’ve never seen anything like this,” said Danielle DiMartino Booth, CEO and chief strategist for Quill Intelligence, a Wall Street and Federal Reserve research firm. “It’s violent not just volatile.”
Sadly, she is right on target. Things have already gotten really crazy, but many believe that the most chaotic chapters of this market implosion are still ahead of us.
The S&P 500 just dropped below 4,000 for the first time in more than a year, and I am already seeing people talk about what will happen when it falls to 3,000.
As for the Nasdaq, it has already plummeted 27 percent from the all-time record high.
Needless to say, that puts the Nasdaq well into bear market territory.
Tech stocks were crushed once again to begin the week, with some of the biggest names leading the way…
Rising rates continued to crush technology names such as Meta Platforms and Alphabet, which lost 3.7% and 2.8%, respectively. Amazon, Apple and Netflix all fell more than 5%, 3% and 4%, respectively, while Tesla and Nvidia plunged more than 9% each.
Ouch!
And check out these numbers for all of 2022 so far…
- Tesla: down 25 percent
- Disney: down 30 percent
- Amazon: down 34 percent
- Facebook: down 41 percent
- Uber: down 45 percent
- Snap: down 50 percent
- Netflix: down 71 percent
Of course Palantir has them all beat…
Palantir Technologies, which went public in September 2020 via a direct listing amid enormous hype and hoopla, has now earned a much coveted spot in my Imploded Stocks column.
Today, Palantir reported another huge loss, this time $101 million, on $446 million in revenues, bringing its total loss over the past four years, to $2.86 billion. Its revenue outlook for Q2 was below what Wall Street expected. Shares [PLTR] kathoomphed 22% so far today, and 84% from the peak in January 2021, to $7.40 a new all-time low.
Investors are starting to figure out that trendy “tech companies” that regularly lose hundreds of millions of dollars are not actually good investments.
Cryptocurrencies have been falling dramatically as well.
Bitcoin and other cryptos were hammered really hard once again on Monday, and at this point Bitcoin is down almost 55 percent from the all-time high…
Bitcoin is off nearly 55% from its November peak, and 40% of holders are now underwater on their investments, according to new data from Glassnode.
That percentage is even higher when you isolate for the short-term holders who got skin in the game in the last six months when the price of bitcoin peaked at around $69,000.
Those that bought Bitcoin low and got out in time ended up making a killing.
But those that got in at or near the top of the market and just kept holding on are going to get absolutely eviscerated.
Of course that is how the market works. You either eat or you get eaten.
As for what is ahead, many of the experts are fearing the worst. Here is just one example…
“We expect markets to remain volatile, with risks skewed to the downside as stagflation risks continue to increase,” wrote Barclays’ Maneesh Deshpande. “While we cannot discount sharp bear market rallies, we think upside is limited.”
In the short-term, you would think that things should stabilize at some point.
The fact that the Fed recklessly raised interest rates last week really shook a lot of people up, but that wave of panic should soon subside.
The much bigger issue is the outlook for the U.S. economy moving forward. Interestingly, even corporate media outlets are now adopting a very negative tone about what is coming…
Inflation is at a 40-year high. Stock prices are sinking. The Federal Reserve is making borrowing much costlier. And the economy actually shrank in the first three months of this year.
Is the United States at risk of enduring another recession, just two years after emerging from the last one?
Even without another unexpected “trigger event”, the U.S. economy should get progressively worse throughout the remainder of 2022.
But as I have detailed in my last couple of books, I believe that we have entered a time in history when unexpected “trigger events” will come fast and furious.
Keep a close eye on the Middle East for the rest of this year, and we will all want to carefully watch how the global food crisis develops.
When people don’t have enough food, violence tends to erupt. We saw this during the Arab Spring of 2011, and we will undoubtedly see similar eruptions in the months ahead.
Only this time around, the food shortages that we are facing threaten to develop into a long-term phenomenon.
In all my years of writing, I have never been more concerned about what is in front of us.
We have already been hit by crisis after crisis so far in 2022, but it looks like the second half of this year is going to be even crazier than the first half.
***It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.***
Image by TheInvestorPost from Pixabay. Article cross-posted from The Economic Collapse Blog.
Will America-First News Outlets Make it to 2023?
Things are looking grim for conservative and populist news sites.
There’s something happening behind the scenes at several popular conservative news outlets. 2021 was bad, but 2022 is proving to be disastrous for news sites that aren’t “playing ball” with the corporate media narrative. It’s being said that advertisers are cracking down, forcing some of the biggest ad networks like Google and Yahoo to pull their inventory from conservative outlets. This has had two major effects. First, it has cooled most conservative outlets from discussing “taboo” topics like Pandemic Panic Theater, voter fraud, or The Great Reset. Second, it has isolated those ad networks that aren’t playing ball.
Certain topics are anathema for most ad networks. Speaking out against vaccines or vaccine mandates is a certain path to being demonetized. Highlighting voter fraud in the 2020 and future elections is another instant advertising death penalty. Throw in truthful stories about climate change hysteria, Critical Race Theory, and the border crisis and it’s easy to understand how difficult it is for America-First news outlets to spread the facts, share conservative opinions, and still pay the bills.
Without naming names, I have been told of several news outlets who have been forced to either consolidate with larger organizations or who have backed down on covering certain topics out of fear of being “canceled” by the ad networks. I get it. This is a business for many of us and it’s not very profitable. Those of us who do this for a living are often barely squeaking by, so loss of additional revenue can often mean being forced to make cuts. That means not being able to cover the topics properly. Its a Catch-22: Tell the truth and lose the money necessary to keep telling the truth, or avoid the truth and make enough money to survive. Those who have chosen survival simply aren’t able to spread the truth properly.
We will never avoid the truth. The Lord will provide if it is His will. Our job is simply to share the facts, spread the Gospel, and educate as many Americans as possible while exposing the forces of evil.
To those who have the means, we ask that you please donate. We have options available now, but there is no telling when those options will cancel us. We just launched a new GiveSendGo page. We also have our GivingFuel page. There have been many who have been canceled by PayPal, but for now it’s still an option. Your generosity is what keeps these sites running and allows us to get the truth to the masses. We’ve had great success in growing but we know we can do more with your assistance.
Thank you, and God Bless!
JD Rucker
Oh yeah, with a big drop in GDP, high inflation, and the Fed raising interest rates; we could very well be headed for a major crash.